452 Serangoon Road
Freehold Corner Building with Excellent Development Potential Prominently Located along the Main Serangoon Road For Sale Via Public Tender
Singapore, 27 March 2017 – CBRE is pleased to offer a freehold 4-storey corner building prominently situated along Serangoon Road with excellent dual frontages for sale through a Public Tender exercise.
452 Serangoon Road sits on a freehold tenure site with a land area of approximately 3,464 square feet and an existing total gross floor area (GFA) of approximately 7,111 square feet; enjoys excellent dual frontages of approximately 35 meters along the bustling Serangoon Road and Petain Road. It is currently tenanted to a 24-hour F&B operator on the ground floor and residential units on the upper floors with immediate rental income stream. A row of on-street car parking lots is available at the front and ample public car parking spaces are also available within close proximity, which provides convenient access for the commercial uses.
Located less than 200m from Farrer Park MRT station, the Property enjoys seamless connectivity and is well-connected to the key precincts in Singapore. In recent years, the location has seen a vivid transformation with large-scale medical, commercial, bespoke hospitality and high-rise private residential developments sprouting up. Prominent landmarks in the vicinity include City Square Mall, City Square Residences, Connexion Medical Centre, Park Hotel Farrer Park, Mustafa Centre and the upcoming Centrium Square.
The Property offers multiple development opportunities to maximize the potential of the land use. These include: –
- Full commercial development of up to plot ratio 3.0 as stipulated on Master Plan 2014
The property is zoned “Commercial” with a gross plot ratio (GPR) of 3.0 in the Master Plan 2014 and can be redeveloped to a new commercial building with a total GFA of approximately 10,392 sq ft;
- Additions & Alteration (A&A) to increase additional space on the upper floors
Given the prominent dual road frontages, the ground floor space is suitable for showrooms including approvals for eating house in the existing unit. Through an A&A asset enhancement work, a potential buyer can increase the GFA of the property by 3,281 sq ft;
- Part 3/part 5-storey commercial cum residential development
Alternatively, the potential buyer can choose to redevelop the Property into a part 3/ part 5-storey commercial-cum-residential development according to a Written Permission granted by the authority, subject to further evaluation and approvals.
Following the successful sale of a mixed-used Government Land Sale (GLS) plot at Perumal Road, which was hotly contested by 11 bidders in January 2017, and strong sale of the strata units in Centrium Square, we have observed robust interest from contractors/developers seeking compelling development opportunities and investors looking attractive properties in Little India/Farrer Park vicinity. The vibrancy of Little India/Farrer Park, combined with the new wave of redevelopments and continued transformation, have steered buyers’ attention to this next hotspot with strong potential for future growth.”
The 99-year GLS plot at Perumal Road was sold to construction firm Low Keng Huat (Singapore) Limited at $1,000.70 per square foot per plot ratio (ppr). The entire retail podium with a total of 49 retail units at Centrium Square have been sold through a bulk purchase to a Bangladeshi group at an average price of $4,967 per square foot. Caveats of Centrium Square strata office transactions reveal an average price of $2,515 per square foot for year 2016 to 2017.
“As a non-conservation building situated amidst a populous traditional heritage site, the future development will blend tastefully with the surrounding heritage pre-war shophouses. We expect the tender to garner interest from contractors, developers and private equity funds who are actively seeking to purchase a strategically located freehold development plot. There is strong interest and ensuing demand from investors seeking income producing property with vast potential for asset enhancement to unlock further capital values of the asset and capitalize on a strong rental upside.
Prominent main road frontage is the key to business users requiring showroom space and corner regular site layout allows extra flexibility and creativity to configure the space to suit different requirements. The existing units with eating house further expand the options of usage. We also envisage there will be robust interest from end-users who are looking to purchase a standalone flagship corporate headquarter with building naming and signage right.” Sammi added.
CBRE is the sole marketing agent for this Public Tender Exercise.
The tender closes on 9 May 2017, Tuesday at 3 pm.